One of New Zealand’s leading venture capital firms is providing ordinary Kiwis with an opportunity to invest directly
into the burgeoning tech sector.
This week, Punakaiki Fund launched its 2020 Retail Offer to the public. The six-year-old $65 million fund has investments in 14 fast-growing tech
companies (see the list below).
Half of the new funds raised through this offer will be invested into those companies, and the other half into new
investments in other fast-growing companies.
“This is a great time to invest in the New Zealand tech sector,” says Punakaiki director Lance Wiggs. “Xero has shown
the way by reaching the landmark valuation of $20 billion. We’re hunting for that next Xero, and our 10
software-as-a-service companies are themselves delivering combined annualised revenue of $87.8 million (as at September
2020). Four of these alone are responsible for over $75 million of this revenue, which is very encouraging.
“we also have investments in four non-SaaS technology companies, which are also collectively substantial, with $57
million in trailing twelve months revenue to the end of September 2020.”
Rising share price
The Punakaiki share price has risen on the back of that success. The iNAV/share has risen from $23.31 at year end March
2020, to $23.92 at the end of June 2020, $25.36 at the end of September 2020 and to $25.67 on the 20th of November 2020
- the valuation used to price this offer.
Punakaiki chairman Mike Bennetts says the Fund is still in the early to mid-phases of its cycle of investment and
returns, with an average shareholding investment period of 3.3 years.
“We are achieving a 13% per year return for our investors based on the current Investor Net Asset Value per Share. We
target a 20% annualised return for all investors but cannot make return predictions as there are many factors out of our
control.”Product Disclosure Document
The Retail Offer is open to the public and closes at midnight on December 17.
You can read the Product Disclosure Statement at:
https://punakaikifund.co.nz/files/PunakaikiFund2020PDS.pdf